Budget efforts hit roadblock

Phoenix, AZ – The plan had been for the House to give final approval to thepackage already approved by the Senate. They did vote last weekto send a measure to the ballot for a temporary hike in salestaxes. But House Speaker Kirk Adams said he does not yet have thevotes for measures to borrow money to balance this year's books.That includes selling off and leasing back $300 million of statebuildings and borrowing $450 million against state lotteryproceeds for the next 20 years. Rep. Andy Biggs said it's notright to borrow money for a one-time fix to the budget. But hesaid the issue goes beyond the question of fiscal policy.

(We have a constitutional limitation on our debt in this state.And while it's clever to say that these type of instruments arenot debt, the reality is, this is massive debt. And therefore,it's in my opinion unconstitutional.)

Legislative leaders acknowledge the $350,000 limit on state debt.But they say these two measures don't violate that because theydon't impose any long-term obligation on the state treasury. Thebills awaiting action also include some short-term borrowing,delaying $350 million owed to schools this spring until Augustand $100 million in state aid to universities into September.Adams said he does not know when he will have the votes for finalapproval. For Arizona Public Radio this is Howard Fischer.